Notes to the financial statements | Note 6.5

6. Financing structure and commitments
6.5 Provisions
 

Significant accounting judgements, estimates and assumptions

Estimates are made of legal or constructive obligations resulting in the raising of provisions, and the expected date of probable outflow of economic benefits to assess whether the provision should be discounted. Liabilities provided for legal matters require judgements regarding projected outcomes and ranges of losses based on historical experience and recommendations of legal counsel. Litigation is however unpredictable and actual costs incurred could differ materially from those estimated at the reporting date.

 
   Group  Company 
   31 March 
2024 
Rm 		 31 March 
2023 
Rm 		 31 March 
2024 
Rm 		 31 March 
2023 
Rm 
Non-current provisions  336  368  294  332 
Non-current employee-related provisions  280  321  273  313 
Subsidiary defined benefit plans (refer to note 10.4 for reconciliation of the opening             
balance to closing balance) 7  8  –  – 
Telephone rebates (refer to note 10.5 for the reconciliation of the opening to             
closing balance) 273  313  273  313 
Non-current non-employee-related provisions             
Other  56  47  21  19 
         
 Current provisions   1 093   1 893   214   559 
Current portion of employee-related provisions  795  1 544  183  536 
Annual leave  423  499  62  82 
  Balance at the beginning of the year  499  454  82  276 
  Charged to employee expenses  (62) 74  (20) 3 
  Leave provision moved to Openserve (Pty) Ltd  –  –  –  (199)
  Trudon leave take-on balance  –  –  –  2 
  Leave paid/utilised  (14) (29) –  – 
Telephone rebates (refer to note 10.5 for the reconciliation of the opening to closing balance) 43  43  43  43 
Bonus, termination packages and other benefits  329  1 002  78  411 
  Balance at the beginning of the year  1 002  633  411  456 
  Charged to employee expenses  373  1 060  130  506 
  Bonus provision moved to Openserve (Pty) Ltd  –  –  –  (123)
  Payments made  (1 046) (691) (463) (428)
Current portion of non-employee-related provisions             
Other  298  349  31  23 
 

Annual leave

In terms of the Group's policy, employees are entitled to accumulate vested leave benefits not taken within a leave cycle to a cap of 22 – 30 days (31 March 2023: 10 – 30 days), which must be taken within a 12 – 18 months (31 March 2023: 6 – 19 months) leave cycle. The leave cycle is reviewed annually and is in accordance with legislation.

Bonus

The bonus scheme consists of performance bonuses which are dependent on the achievement of certain financial and non-financial targets. The bonus is payable annually to all qualifying employees after the Group's results have been made public, with a 14th cheque payable to a certain group of employees.

Non-employee-related provisions

Other provisions relate to the ICASA licence fee provision, restoration provisions and other general provisions.